Impact of Strategic Analysis (SWOT) on the Performance of Jordanian Public Shareholding Industrial Companies: The Mediating Role of Scenario Planning

Abstract

This study aims to examine the impact of strategic analysis (SWOT) on the organizational performance of Jordanian public shareholding industrial companies, taking into consideration the mediating role of scenario planning. The study’s sample includes 38 companies out of the 54 operating at the Jordanian financial market. From each company, the functional managers are selected to represent the sampling unit of the study. The questionnaire is employed as the fundamental instrument for collecting the required information and data. A total of 165 questionnaires were distributed, and 151 were statistically significant. Smart PLS (3) program was utilized for statistical analysis. The results reveal that the surveyed companies are engaged in both SWOT analysis and scenario planning, and they are aware of the critical role of the two variables in enhancing organizational performance, particularly after the COVID-19 pandemic. Furthermore, the findings of the study show that scenario planning has a partial impact in the effect of SWOT analysis on companies’ performance. Besides, the study sheds light on the significance of strategic analysis and recommends relying on more than one type of analysis and developing human resources with strategic thinking skills to be able to conduct scenario planning and build convenient strategies.